Delays in paying Paraguayan government debts, totaling $1.5 billion in 2025, have already generated over $200 million in extra costs, according to economist Sergio Sapena. He points to three negative effects of the arrears and advocates raising the fiscal deficit to 6% of GDP as a solution.
Sergio Sapena
Economista paraguayo que analiza las ventajas y desventajas fiscales del país para inversores.
Experts point out that Paraguay's fiscal advantages, while still relevant, have lost weight given the need for improvements in infrastructure, legal security, and quality of public services.